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UK discount variety retailer selling general merchandise and groceries at low prices through B&M and Heron Foods.
UK discount variety retailer selling general merchandise and groceries at low prices through B&M and Heron Foods.
Buys goods direct from factories, largely in Asia, and sells at low prices through large out-of-town stores. Heron Foods, a chilled and frozen grocery chain, and stores in France, bought as Babou in 2020, add to the mix. The founding Arora family remain major shareholders.
In one line: A UK Five Below/Dollar General hybrid.
Moat: narrow (cost advantage, scale, distribution). Low-cost sourcing and a lean store model support persistently low prices.
Headquarters: Speke, UK · Founded: 1978 · Employees: 39,054
Size B&M European Value Retail (BME.L) is a United Kingdom Consumer Staples company (Discount Stores) with a market value of $3.79B, the 113th largest of 363 United Kingdom companies the cockpit tracks. Shares closed at £280.00 on 6 Nov 2026.
Performance Over six months the shares gained 70.5%, against +3.6% for the median peer and +3.6% for the United Kingdom market (cap-weighted) — highest of 6 in its peer set.
Growth Revenue grew 3.7% over the last twelve months (peer median +2.9%); the operating margin is 7.6% (peer median 9.0%).
Valuation It trades at 12.9× forward earnings against a peer median of 13.8× (3rd cheapest of 6).
Price implies For today's price to make sense, revenue must grow about -1% a year for seven years (Req g). Recent delivered growth is +4%, so the hurdle is -4 pp: the price already allows for a slowdown.
Capital Return on invested capital runs 3.1 points above its cost of capital (8.2% WACC).
Credit B&M European Value Retail has 3 bonds outstanding ($1.00B), rated BB by the agencies and trading like BB at a weighted spread of 207 bp.
Next results Next results expected around 12 Nov 2026 (exchange calendar; dates can move).
| TTM | FY2025 | FY2024 | FY2023 | FY2022 | |
|---|---|---|---|---|---|
| Revenue | £5.78B | £5.78B | £5.57B | £5.48B | £4.98B |
| Revenue growth | — | +4% | +2% | +10% | — |
| Gross profit | £1.90B | £1.90B | £1.91B | £1.86B | £1.63B |
| EBITDA | £735M | £738M | £864M | £879M | £768M |
| Net income | £164M | £164M | £319M | £367M | £348M |
| Free cash flow | £534M | £534M | £495M | £588M | £655M |
| Capital expenditure | £142M | £142M | £133M | £126M | £98.0M |
| Total debt | n/a | £2.45B | £2.57B | £2.27B | £2.25B |
The default views of Competitor Analysis ▸ Charts, drawn from the same data. Open them in the cockpit to change the axes, pin companies and read every value.
| Company | Market cap | 6M return | Revenue growth | Op. margin | Forward P/E | Req g |
|---|---|---|---|---|---|---|
| B&M European Value Retail BME.L | $3.79B | +71% | +4% | 8% | 12.9× | -0.6% |
| Pepco Group BV PCO.WA | $7.18B | +58% | -42% | 15% | 16.8× | 4.6% |
| Dunelm DNLM.L | $2.44B | +24% | +3% | 12% | 11.7× | 2.4% |
Peer set: Industry: the same industry and sector in any market, nearest in size. This is the same default set the interactive Competitor Analysis opens with.
| Measure | BME.L | Peer median | Rank in peer set |
|---|---|---|---|
| 1-month return | +8.9% | +8.0% | 3rd highest of 6 |
| 6-month return | +70.5% | +3.6% | highest of 6 |
| Distance from 52-week high | -2.5% | -14.2% | highest of 6 |
| Revenue growth (TTM) | +3.7% | +2.9% | 2nd highest of 6 |
| Operating margin | 7.6% | 9.0% | 3rd lowest of 6 |
| Forward P/E | 12.9× | 13.8× | 3rd cheapest of 6 |
| Growth the price implies (Req g, 7 yrs) | -0.6% | -1.6% | 3rd most demanding of 6 |
| Growth delivered (Del g) | +3.8% | +16.0% | lowest of 6 |
| Hurdle (Req g minus delivered) | -4.4 pp | -17.5 pp | 2nd most demanding of 6 |
| ROIC minus cost of capital | +3.1 pp | +2.3 pp | 3rd highest of 6 |
| EV / EBITDA | 6.7× | 7.5× | 3rd cheapest of 6 |
| Net debt / EBITDA | 2.9× | 3.0× | 3rd least indebted of 6 |
| Bond spread | 207 bp | n/a | — |
| Company | Market | Market cap | 6M return | Revenue growth | Op. margin | Forward P/E | Req g | Delivered g |
|---|---|---|---|---|---|---|---|---|
| B&M European Value Retail BME.L | United Kingdom | $3.79B | +71% | +4% | 8% | 12.9× | -0.6% | +3.8% |
| Lagardere MMB.PA | France | $2.92B | +4% | +4% | 7% | 8.7× | -5.5% | +16.0% |
| Carmila CARM.PA | France | $2.40B | -7% | -1% | 60% | 8.2× | 4.3% | +5.5% |
| Avolta AVOL.SW | Switzerland | $8.03B | +8% | -1% | 7% | 13.8× | -1.6% | +40.3% |
| Europris EPR.OL | Norway | $1.44B | -9% | +3% | 9% | 15.2× | -4.3% | +13.2% |
| Five Below FIVE | United States | $13.2B | +8% | +26% | 15% | 23.7× | 8.1% | +19.4% |
B&M European Value Retail has 3 bonds outstanding with $1.00B face value. The agencies rate it BB; its bonds trade like BB. Weighted yield 6.87%, a spread of 207 bp over government bonds.